The G7 countries can support Ukraineʼs military efforts by providing billions of dollars in loans linked to frozen Russian assets.
US Treasury Secretary Janet Yellen stated this in an interview with Sky News.
She expressed hope for a "united front" on this issue ahead of a key meeting of finance ministers in Italy, arguing that Ukraine has "significant needs."
Yellen is pushing for a plan to use the interest earned on $300 billion in confiscated Russian state assets to fund Ukraineʼs military effort. This amount can be up to $50 billion, but it can be provided only in the form of loans.
Yellen initially pushed for a full confiscation of Russian funds, but this proposal has met with resistance from EU officials who believe such actions could create systemic risk for the single European currency.
- On May 21, the member states of the European Union approved a plan for using profits from frozen Russian assets. The money will go to rebuilding Ukraine and military aid.